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APAC Edition
17th January 2025
 
THE HOT STORY
New rules for employees stir debate at Pang Dong Lai
Chinese supermarket chain Pang Dong Lai has ignited controversy with new rules governing employees' personal lives, including prohibitions against domestic violence and child abuse. Yu Donglai, the company's founder, said the rules are “Based on the spirit of freedom, the belief in love and the mission of letting more people live a happy life,” adding that they aim to promote positive family values. However, the policies have sparked mixed reactions on social media, with some praising the initiative and others criticising it as intrusive. Lawyer Fu Jian noted that while the rules are legitimate if not tied to pay, they may infringe on personal freedoms. This is not the first time Pang Dong Lai has faced scrutiny for its staffing policies, after it previously required employees to reject bride prices and avoid lavish weddings.
WORKFORCE
Aging population poses threat to Japan's labour market
The Japanese government has warned that labour shortages in the country are reaching record levels. Two-thirds (66%) of respondents to a Reuters survey agreed that their businesses were significantly affected by the issue. One manager at a railroad operator told the survey: "It goes without saying this drives up personnel costs, but it could even pose a business continuity risk."
STRATEGY
BP to cut 4,700 jobs to reduce costs
Oil giant BP is to cut about 4,700 staff, more than 5% of its total workforce, as part of plans to cut costs. The UK firm, which has a global workforce of about 90,000 people, confirmed the job losses on Thursday, but has not said how many roles will be affected in each country it operates in. An email to staff also confirmed that about 3,000 contractor positions will be axed this year. It is understood the cuts will be applied to those in office-based jobs rather than operational roles. In an email to staff, chief executive Murray Auchincloss said: "We have got more we need to do through this year, next year and beyond, but we are making strong progress as we position BP to grow as a simpler, more focused, higher-value company." Auchincloss added that he recognised "the uncertainty this brings for everyone whose job may be at risk, and also the effect it can have on colleagues and teams." 
China eyes buying factories for foothold in Germany, source says
Chinese officials and automakers are showing interest in acquiring German factories, particularly those of Volkswagen, which is planning closures amid economic challenges. A source revealed that such a move could enhance China's influence in Germany's prestigious auto industry. "We are committed to finding a continued use for the site," a Volkswagen spokesperson said, highlighting the company's focus on viable solutions for its operations. The potential investment comes as Chinese companies seek to establish a manufacturing presence in Europe to avoid EU tariffs on electric vehicles. Investment decisions would hinge on the new German government's stance towards China following an election in February, the source said.
LEGAL
Amazon ban sought by Indian retailers
The Indian government has been urged to ban Amazon's local operations after the online retailer was accused of granting preferential treatment to a small group of sellers. The Confederation of All India Traders (CAIT) said the story, reported by Reuters, was "sufficient enough to immediately ban operations of Amazon in India." Amazon noted on its Amazon India News Twitter account: "In  the last several years, there have been (a) number of changes in regulations; Amazon has on each occasion taken rapid action to ensure compliance. The story therefore seems to have outdated information and doesn't show any non-compliance".
RISK
War is the biggest threat to global economy
The world economy is experiencing unprecedented division, according to the World Economic Forum's Global Risks Report. The survey of over 900 risk managers found that 23% view armed conflict as the primary threat to global stability. Mirek Dusek, managing director at the WEF, said: "Rising geopolitical tensions, a fracturing of global trust and the climate crisis are straining the global system like never before." Extreme weather events caused by climate change were identified as the biggest risk by 14% of respondents, while 8% said that geo-economic confrontation - such as steeper trade barriers - would constrain the economy. Just 1% of those polled of respondents identified a new global pandemic as the greatest threat.
INTERNATIONAL
Norway finds Air France seating policy discriminatory
Norway's anti-discrimination tribunal, Diskimineringsnemnda, has ruled that Air France's policy of not seating men next to unaccompanied children is discriminatory. The case arose when Dominique Sellier was asked to change seats on a flight from Oslo to Paris in October 2022. He filed a complaint. Air France defended its policy by citing that men are involved in 97.93% of suspected sex crimes, and argued it was necessary to protect minors from potential threats. Sellier said Air France's generalisation about men went too far. "How can we accept this kind of suspicion because we belong to the male gender?" Although he won his case before Diskimineringsnemnda, which was made up of three legal experts, Sellier said he had received no damages nor an apology from Air France.
Paid bereavement leave should cover miscarriage, UK lawmakers say
A cross-party group of UK lawmakers say women and their partners should be given paid time off work if they experience a miscarriage. Since April 2020, employees can be eligible for statutory parental bereavement leave, including pay, if they have a stillbirth after 24 weeks of pregnancy, but there is no specific leave for a pre-24 week miscarriage. The Women and Equalities Committee (WEC) is recommending that the two-week leave period should now be made available to women who experience a miscarriage, and their partners who support them. The MPs said that while a "growing number of employers have specific pregnancy loss leave and pay policies," there remains a "very substantial" gap in support.
Illinois could become first US state to decriminalise sex work
State lawmakers plan to introduce legislation this week that would make Illinois the first US state to fully decriminalise sex work. “The threat of arrest and prosecution keeps sex workers unsafe and in the shadows, and this threat must be eliminated,” Brian Johnson, CEO of Equality Illinois, told a news conference announcing the proposed bill. “This law is essential now more than ever.” The bill, which is sponsored by state Rep. Will Guzzardi, D-Chicago, and state Sen. Celina Villanueva, D-Chicago, would eliminate criminal penalties for adults who engage in consensual sex work, remove arrest and conviction records for sex workers, and establish a sex workers’ bill of rights.
More UAE employers are testing English skills while hiring
More employers in the UAE are using English language testing during the recruitment process, often before interviews or as part of assessments, according to an executive at Pearson, the educational publishing and services company. “[The tests] provide standardised benchmarks to evaluate candidates' English proficiency, ensuring their skills align with job requirements. Results influence hiring by helping recruiters identify candidates capable of thriving in roles requiring cross-cultural collaboration and technical communication. In competitive markets such as the Middle East where English proficiency varies, such evaluations ensure businesses build globally competitive teams,” explained Isil Berkan, marketing director, English Language Learning, MEA, Pearson.
OTHER
Foreign travellers welcomed to China with new service counters and other facilities
China Daily reports on China's launch of services aimed at facilitating visits by foreign tourists. Wang Hongyan, deputy head of the Beijing Bureau of Culture and Tourism's external exchange and cooperation department, remarked: "We have been making efforts to improve the foreign visitors' overall experience in the city, including customer service, transportation, accommodations, sightseeing, shopping and payment. More service improvements will be carried out in Beijing, and we expect a 5% increase in inbound tourists in 2025." The service counters offer assistance with cash withdrawals using foreign bank cards and currency exchange, while staff members provide assistance in downloading mobile payment apps. Travel passes can also be purchased.
 


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